Refis Take a Hit as Mortgage Rates Tick Up

Refinance Mortgage

After a small rate increase, refinance applications tumbled this week, according to the Mortgage Bankers Association, although mortgage applications are still up dramatically from last year. The MBA’s mortgage volume index fell 6.2% in the past week but was up 66% from a year ago. That drop was led by an 8% decline in refinance loan requests, but refinance applications were still 167% higher than the previous year. Home purchase requests decreased 4% and were 2% above last year’s level. Meanwhile, the average rate on a 30-year fixed-rate mortgage rose to 3.94% from 3.90%.